Archive for 2017

What IOU Financial Revealed in its Earnings Statement

April 29, 2017
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IOU logo

2016 was a weird year for online lenders and IOU Financial, who lends to small businesses, fared no differently. Loan origination volume for the year was $107.5 million, down 26.5% from 2015. Revenues were up due to the company retaining more of their loans on balance sheet but losses were up as well. Here are […]

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Elevate Readies Rise for Growth

April 28, 2017
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Tony Leopold

Alternative lender Elevate has hired Tony Leopold for the newly created role of general manager of Rise, the company’s flagship product that is 100 percent online. The addition places Rise in the spotlight ahead of Elevate’s maiden earnings report as a publicly traded company, which is being unveiled in May. Leopold had ambitious plans for […]

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Nulook Capital Bankruptcy Envelops PSC

April 27, 2017
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bankruptcy court

Nulook Capital was not the only casualty of its April 4th Chapter 11 bankruptcy filing. On Wednesday, April 26th, a federal judge in a separate action issued an order aimed at one of Nulook’s alleged creditors, PSC. PSC is also a Long Island-based company engaged in the merchant cash advance business. In the order, the […]

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Rough Year? Market Tells Different Story for Alternative Lenders So Far

April 25, 2017
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stocks up

A decent day for OnDeck’s stock on Tuesday was enough to place the company’s share price in positive territory year-to-date, where just about every other public online lender finds themselves as well. According to the new deBanked Tracker, Square is up more than 33% on the year and Yirendai up 19%. Even Lending Club, whose […]

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Words Matter in Contracts (And everywhere else)

April 25, 2017
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Merchant Cash Advance Training

The Counselor Library conference powered by law firm Hudson Cook LLP was a big hit in Baltimore this week. While focused on consumer lending, they held a special one-day program on merchant cash advance and small business lending. The topics and discussions were off-limits to press reporting but what was largely visible on the exhibition […]

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SmartBiz Loans Expands Its Footprint With a NorCal Bank

April 25, 2017
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bank

Technology-based lending platform SmartBiz Loans, which is dedicated to facilitating SBA loans, has expanded its bank roster. SmartBiz announced today a new partnership with Sacramento-based Five Star Bank, bringing the tally of the number of banks on the startup’s platform to five and thrusting marketplace lending into the spotlight once again. Five Star already delivers […]

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Re-Banked

April 23, 2017
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reBanked

This article is from deBanked’s Mar/Apr 2017 magazine issue. To receive copies in print, SUBSCRIBE FREE Just a few years ago, the financial services community was fixing for a battle of David and Goliath proportions—with scrappy, upstart online lenders threatening to rise up and vanquish the fearful and mighty brick and mortar banks. Instead, the […]

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FinTech Ventures Fund, LLLP Sheds More Than Half of its Shares in IOU Financial

April 22, 2017
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FinTech Ventures Fund, LLLP (“FinTech”), a major shareholder of IOU Financial, shed more than half of its holdings in the Canadian-listed company last week. The 7 million shares sold represented nearly 10% of IOU’s outstanding common shares. According to a statement: FinTech will review and monitor its options and alternatives with respect to additional acquisitions […]

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Catching Up With Marketplace Lending – A Timeline

April 20, 2017
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A timeline of alternative finance

This article is from deBanked’s Mar/Apr 2017 magazine issue. To receive copies in print, SUBSCRIBE FREE 2/17 Prospa, an online small business lender based in Australia, was valued at $235M (AUD) in a $25M capital raise Square announced funding $248 million worth of business loans in Q4 2016 2/21 A Massachusetts state court vacated a […]

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A Tale of “Debt Restructuring”?

April 19, 2017
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law books

Here’s a doozy for you: A merchant signed an agreement with a purported law firm on September 29, 2016 for assistance with restructuring their debts. As part of that agreement, the law firm, which goes by the name Protection Legal Group, LLC, also offers “Litigation Defense Services” in case the merchant gets sued for non-payment […]

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